Wager insurance for a No-Limit Texas Hold&#39;Em poker game

ABSTRACT

Wager insurance for a game of No-Limit Texas Hold&#39;Em poker is provided to allow players to “hedge their bets” to limit the downside of losing a large bet through the provision of the ability to purchase, from the house, an insurance policy. The “premium” paid for the insurance policy is calculated by the house taking into account such factors as (a) the amount bet, (b) the strength of the hand, and (c) the status of the game, that is, how far along in the game the insurance is requested, in terms of how many of the sequence of steps in playing the game have occurred. Players may obtain insurance at any step along the way of the playing of the game. This permits a player to limit their potential loss, particularly where the player has the strongest hand to that point in the sequence of steps by which the game is played. In order to avoid undue complication, once a player becomes a policy holder and purchases an insurance policy from the house, that player may not take out another policy during the remainder of the same hand.

BACKGROUND OF THE INVENTION

The present invention relates to wager insurance for a No-Limit TexasHold'Em poker game. Generally speaking, the card game of poker is anextremely well known card game. By whatever method, the object of thegame is to obtain the strongest possible hand from cards dealt from atypical 52 card deck made up of 4 suits of 13 cards each. In such a deckof cards, the 4 suits are typically diamonds, hearts, clovers andspades. The types of hands that may be obtained while playing a typicalgame of poker are, from strongest to weakest:

1. Royal Flush: This is the strongest poker hand and consists of theAce, King, Queen, Jack and 10, all in the same suit. All suits haveequal strength and, as such, all Royal Flushes are equal to one another.

2. Straight Flush: 5 cards of the same suit in sequence, but notincluding the Ace. If one is comparing the strength of two StraightFlushes, the one with the higher top card is the stronger StraightFlush. In determining whether one has obtained a Straight Flush, the Acecan be counted as high or low. It is not permitted for a Flush to “turnthe corner,” i.e., include 4, 3, 2, A, K. The Ace (A) is the lowestpossible card in a Straight Flush.

3. Four of a Kind: Four of a Kind consists of 4 cards of the same ranksuch as 4 Jacks, 4 threes, etc. When comparing two 4s of a kind, the onewith the higher set of 4 cards is higher. In some cases where more thanone deck of cards is used in playing the game, two players may have 4sof a kind having the same rank. In that case, the hand with the higherfifth card is the stronger hand.

4. Full House: This hand consists of 3 cards of one rank and 2 cards ofanother rank. For example, 3 sixes and 2 Jacks. When comparing FullHouses, the rank of the set of 3 cards determines which is higher. Ifthe sets of three cards are equal, then the hand which has the higherrank of the pairs would be the stronger hand.

5. Flush: A Flush consists of 5 cards of the same suit without regard towhether they are in numerical order. When comparing two Flushes, thehigher card determines which is the stronger hand. If the highest cardsare equal, then the second highest cards are compared, etc.

6. Straight: A Straight consists of 5 cards of mixed suits, but innumerical sequence. When comparing two sequences, the one with thehigher ranking top card is the stronger hand. The Ace can count high orlow in a Straight, but not both at once.

7. Three of a Kind: Three cards of the same rank plus two other cards.When comparing 2 Threes of a Kind, the hand in which the three equalcards of higher rank is better. For example, 8 8 8 7 5 beats 7 7 7 4 2.If the sets of three are of equal rank, which can occur when multipledecks are used in playing the game, then the higher of the two remainingcards in each hand is compared and if those are equal, the lowerremaining card is compared.

8. Two Pairs: A pair is two cards of equal rank. In a hand with TwoPairs, there are two sets of pairs of different ranks. An additionalcard makes up a hand of 5 cards. When comparing two separate hands, eachof which has Two Pairs, the hand with the highest pair wins irrespectiveof the rank of the other cards. If the higher pairs are equal, the lowerpairs are compared. If both pairs are the same, then the fifth cards arecompared.

9. A Pair: A Pair is a hand of two cards of equal rank and three othercards which do not match these or each other. When comparing two suchhands, the hand with the higher pair is the stronger hand. If the pairsare equal, then the remaining cards are compared in the manner explainedabove.

10. High Card: Five cards which do not form any of the combinations setforth above will, of course, have a highest card. When comparing twosuch hands, the one with the better highest card wins. If the highestcards are equal, then the next highest cards are compared, and so on.

No-Limit Texas Hold'Em poker is a variant of the typical poker game, butcards are still ranked based upon the ranking system described above.Before going further, it is instructive to understand the terminologyand lexicography to be used hereinafter in describing the game ofNo-Limit Texas Hold'Em poker. The terminology and lexicography is asfollows:

Dealer Button: One player at the table acts as the “dealer”. This isnoted by the Dealer Button, usually a white puck with the word “Dealer”printed on it, placed in front of the dealer position. The player on the“button” does not actually deal the cards, but he will be the lastperson to act for this hand. The dealer button rotates around the tableat the end of each hand, so each player takes turns being the lastplayer to act. The button moves to the player on the left at thebeginning of each round. Blind(s): The “blind” is a forced bet that aplayer must place prior to the dealing of the cards. Two players mustpost blinds prior to each hand played. The player to the immediate leftof the dealer button is referred to as the “small blind”. This playermust post half of the normal bet before the game starts. To theimmediate left of the small blind sits the big blind. The big blind mustpost the full bet before the game starts. So, for example, if we weresitting at a $1-2 Texas Hold'Em No-Limit table, the small blind mustpost $1, and the big blind must post $2 before the hand is dealt.All-In: A player bets all of his remaining chips in play.

Action

-   -   (1) Opportunity to act. If a player appears not to realize it's        his turn, the dealer will say “Your action, sir.”    -   (2) Bets and raises. “If a third heart hits the board and        there's a lot of action, you have to assume that somebody has        made the flush.”

Ante

-   -   A small portion of a bet contributed by each player to seed the        pot at the beginning of a poker hand. Most hold'em games do not        have an ante; they use “blinds” to get initial money into the        pot.

All-In

-   -   To bet all of your remaining chips, whether it be betting or        calling. In table stakes games, a player may not go into his        pocket for more money during a hand (some live limit poker brick        and motar cardrooms allow a player to go “into his poket for        more money). If he runs out, a side pot is created in which he        has no interest. However, he can still win the pot for which he        had the chips. Example: “Poor Bob. He made quads against the big        full house, but he was all-in on the second bet.”

Backdoor

-   -   Catching both the turn and river card to make a drawing hand.        For instance, suppose you have As-7s. The flop comes Ad-6c-4s.        You bet and are called. The turn is the Ts, which everybody        checks, and then the river is the Js. You've made a “backdoor”        nut flush. See also “runner.”

Bad Beat

-   -   To have a hand that is a large underdog beat a heavily favored        hand. It is generally used to imply that the winner of the pot        had no business being in the pot at all, and it was the wildest        of luck that he managed to catch the one card in the deck that        would win the pot. We won't give any examples; you will hear        plenty of them during your poker career.

Big Blind

-   -   The larger of the two blinds typically used in a hold'em game.        The big blind is a full first round bet. See also “blind” and        “small blind.”

Big Slick

-   -   A nickname for AK (suited or not). Its origins are unknown (to        me, anyway).

Blank

-   -   A board card that doesn't seem to affect the standings in the        hand. If the flop is As-Jd-Ts, then a turn card of 2h would be        considered a blank. On the other hand, the 2s would not be.

Blind

-   -   A forced bet (or partial bet) put in by one or more players        before any cards are dealt. Typically, blinds are put in by        players immediately to the left of the button. See also “live        blind.”

Board

-   -   All the community cards in a hold'em game—the flop, turn, and        river cards together. Example: “There wasn't a single heart on        the board.”

Bot

-   -   Short for “robot”. In a poker context, a program that plays        poker online with no (or minimal) human intervention.

Bottom Pair

-   -   A pair with the lowest card on the flop. If you have As-6s, and        the flop comes Kd-Th-6c, you have flopped bottom pair.

Brick & Mortar

-   -   A “real” casino or cardroom with a building, tables, dealers,        etc. This is in contrast to an online poker site.

Bubble

-   -   (1) The point at which only one player must bust out before all        others win some money.    -   (2) The person who was unfortunate enough to finish in that        position.

Burn

-   -   To discard the top card from the deck, face down. This is done        between each betting round before putting out the next community        card(s). It is security against any player recognizing or        glimpsing the next card to be used on the board.

Button

-   -   A white acrylic disk that indicates the (nominal) dealer. Also        used to refer to the player on the button. Example: “Oh, the        button raised.”

Buy

-   -   (1) As in “buy the pot.” To bluff, hoping to “buy” the pot        without being called. (2) As in “buy the button.” To bet or        raise, hoping to make players between you and the button fold,        thus allowing you to act last on subsequent betting rounds.

Buy-In

-   -   An amount of money you pay to enter a tournament. Often        expressed as two numbers, such as $100+9, meaning that it costs        $109 to enter the tournament; $100 goes into the prize fund and        $9 goes to the house.

Call

-   -   To put into the pot an amount of money equal to the most recent        bet or raise. The term “see” (as in “I'll see that bet”) is        considered colloquial.

Calling Station

-   -   A weak-passive player who calls a lot, but doesn't raise or fold        much. This is the kind of player you like to have in your game.

Cap

-   -   To put in the last raise permitted on a betting round. This is        typically the third or fourth raise. Dealers in California are        fond of saying “Capitola” or “Cappuccino.”

Case

-   -   The last card of a certain rank in the deck. Example: “The flop        came J-8-3; I've got pocket jacks, he's got pocket 8's, and then        the case eight falls on the river, and he beats my full house.”

Center Pot

-   -   The first pot created during a poker hand, as opposed to one or        more “side” pots created if one or more players goes all-in.        Also “main pot.”

Chat

-   -   Typed conversation that you can have with other players at an        online poker site (or any online gathering, for that matter).

Check

-   -   (1) To not bet, with the option to call or raise later in the        betting round. Equivalent to betting zero dollars. (2) Another        word for chip, as in poker chip.

Check-Raise

-   -   To check and then raise when a player behind you bets.        Occasionally you will hear people say this is not fair or        ethical poker. Piffle. Almost all casinos permit check-raising,        and it is an important poker tactic. It is particularly useful        in low-limit hold'em where you need extra strength to narrow the        field if you have the best hand.

Chop

-   -   An agreement between the two players with blinds to simply take        their blinds back rather than playing out the hand if nobody        calls or raises in front of them.

Clean Out

-   -   A card that would almost certainly make your hand best. If you        are drawing at a straight, but there is a flush draw possible,        then the cards that make your straight but also the flush are        not clean outs.

Cold Call

-   -   To call more than one bet in a single action. For instance,        suppose the first player to act after the big blind raises. Now        any player acting after that must call two bets “cold.” This is        different from calling a single bet and then calling a        subsequent raise.

Come Hand

-   -   A drawing hand (from the craps term).

Complete Hand

-   -   A hand that is defined by all five cards—a straight, flush, full        house, four of a kind, or straight flush.

Connector

-   -   A hold'em starting hand in which the two cards are one apart in        rank. Examples: KQs, 76.

Counterfeit

-   -   To make your hand less valuable because of board cards that        duplicate it. Example: you have 87 and the flop comes 9-T-J, so        you have a straight. Now an 8 comes on the turn. This has        counterfeited your hand and made it almost worthless.

Crack

-   -   To beat a hand—typically a big hand. You hear this most often        applied to pocket aces: “Third time tonight I've had pocket aces        cracked.”

Cripple

-   -   As in “to cripple the deck.” Meaning that you have most or all        of the cards that somebody would want to have with the current        board. If you have pocket kings, and the other two kings flop,        you have crippled the deck.

Crying Call

-   -   A call that you make expecting to lose, but feel that you must        make anyway because of the pot odds.

Cut-Off

-   -   The position (or player) who acts one before the button.

Dead Money

-   -   (1) Money contributed to a pot by a player no longer in the        pot. (2) A player in a tournament who has no realistic chance of        winning.

Dog

-   -   Shortened form of “underdog.”

Dominated Hand

-   -   A hand that will almost always lose to a better hand that people        usually play. For instance, K3 is “dominated” by KQ. With the        exception of strange flops (e.g., 3-3-X, K-3-X), it will always        lose to KQ.

Draw

-   -   To play a hand that is not yet good, but could become so if the        right cards come. Example: “I'm not there yet—I'm drawing.” Also        used as a noun. Example: “I have to call because I have a good        draw.”

Draw Dead

-   -   Trying to make a hand that, even if made, will not win the pot.        If you're drawing to make a flush, and your opponent already has        a full house, you are “drawing dead.” Of course, this is a bad        condition to be in.

Equity

-   -   Your “rightful” share of a pot. If the pot contains $80, and you        have a 50% chance of winning it, you have $40 equity in the pot.        This term is somewhat fanciful since you will either win $80 or        $0, but it gives you an idea of how much you can “expect” to        win.

Expectation

-   -   (1) The amount you expect to gain on average if you make a        certain play. For instance, suppose you put $10 into a $50 pot        to draw at a hand that you will make 25% of the time, and it        will win every time you make it. Three out of four times, you do        not make your draw, and lose $10 each time for a total of $30.        The fourth time, you will make your draw, winning $50. Your        total gain over those four average hands is $50-$30=$20, an        average of $5 per hand. Thus calling the $10 has a positive        expectation of $5. (2) The amount you expect to make at the        poker table in a specific time period. Suppose in 100 hours of        play, you win $527. Then your expectation is $5.27/hr. Of        course, you won't make that exact amount each hour (and some        hours you will lose), but it's one measure of your anticipated        earnings.

Extra Blind

-   -   A blind put in by a player just entering the game, returning to        the game, or otherwise changing his position at the table. See        also “blind” and “post.”

Family Pot

-   -   A pot in which all (or almost all) of the players call before        the flop.

Fast Play

-   -   To play a hand aggressively, betting and raising as much as        possible. Example: “When you flop a set but there's a flush draw        possible, you have to play it fast.”

Fish

-   -   A poor player—one who gives his money away. It's a well-known        (though not well-followed) rule among good players to not upset        the bad players, because they'll stop having fun and perhaps        leave. Thus the phrase, “Don't tap on the aquarium.”

Flop

-   -   The first three community cards, put out face up, all together.

Fold Equity

-   -   The extra value you get from a hand when you force an opponent        to fold. That is, if you don't have to see a showdown, your hand        has more value than if you do.

Foul

-   -   A hand that may not be played for one reason or another. A        player with a foul hand may not make any claim on any portion of        the pot. Example: “He ended up with three cards after the flop,        so the dealer declared his hand foul.”

Free Card

-   -   A turn or river card on which you don't have to call a bet        because of play earlier in the hand (or because of your        reputation with your opponents). For instance, if you are on the        button and raise when you flop a flush draw, your opponents may        check to you on the turn. If you make your flush on the turn,        you can bet. If you don't get it on the turn, you can check as        well, seeing the river card for “free.”

Free Roll

-   -   One player has a shot at winning an entire pot when he is        currently tied with another player. For instance, suppose you        have Ac-Qc and your opponent has Ad-Qh. The flop is Qs-5c-Tc.        You are tied with your opponent right now, but are free rolling,        because you can win the whole pot and your opponent can't. If no        club comes, you split the pot with him; if it does come, you win        the whole thing.

Gap Hand

-   -   A starting hand with cards more than one rank apart. For        instance, T9 is a one-gap hand. 86 is a two-gap hand.

Gutshot Straight

-   -   A straight filled “inside.” If you have 9s-8s, the flop comes        7c-5h-2d, and the turn is the 6c, you've made your gutshot        straight.

Heads-Up

-   -   A pot that is being contested by only two players. Example: “It        was heads-up by the turn.”

Hit

-   -   As in “the flop hit me,” meaning the flop contains cards that        help your hand. If you have AK, and the flop comes K-7-2, it hit        you.

House

-   -   The establishment running the game. Example: “The $2 you put on        the button goes to the house.”

Implied Odds

-   -   Pot odds that do not exist at the moment, but may be included in        your calculations because of bets you expect to win if you hit        your hand. For instance, you might call with a flush draw on the        turn even though the pot isn't offering you quite 4:1 odds (your        chance of making the flush) because you're sure you can win a        bet from your opponent on the river if you make your flush.

Jackpot

-   -   A special bonus paid to the loser of a hand if he gets a very        good hand beaten. In hold'em, the “loser” must typically get        aces full or better beaten. In some of the large southern        California card clubs, jackpots have gotten over $50,000. Of        course, the jackpot is funded with money removed from the game        as part of the rake.

Jam

-   -   To move all-in in a no-limit (or pot-limit) game.

Kicker

-   -   An unpaired card used to determine the better of two        near-equivalent hands. For instance, suppose you have AK and        your opponent has AQ. If the flop has an ace in it, you both        have a pair of aces, but you have a king kicker. Kickers can be        vitally important in hold'em.

Leak

-   -   A weakness in your game that causes you to win less money than        you would otherwise. Example: “She takes her pocket pairs too        far; it's a leak in her game.”

Limp

-   -   To call. Generally the term refers to pre-flop action. For        instance: “He limped in early position with 77.”

Live Blind

-   -   A forced bet put in by one or more players before any cards are        dealt. The “live” means those players still have the option of        raising when the action gets back around to them.

Live

-   -   Cards that are not duplicated in an opponent's stronger hand.        For example, if you have A9 and your opponent has AJ, then your        ace is not “live” because making a pair of aces won't do you any        good. The nine, however, is live; making a pair of nines gives        you the better hand.

Maniac

-   -   A player who does a lot of hyper-aggressive raising, betting,        and bluffing. A true maniac is not a good player, but is simply        doing a lot of gambling. However, a player who occasionally acts        like a maniac and confuses his opponents is quite dangerous.

Made Hand

-   -   A hand to which you're drawing, or one good enough that it        doesn't need to improve.

Micro-Limit

-   -   Games so small that they couldn't be profitably dealt in a real        cardroom. They exist only at online poker sites. You might        arbitrarily call games $0.25-0.50 and smaller “micro-limit.”

Muck

-   -   The pile of folded and burned cards in front of the dealer.        Example: “His hand hit the muck so the dealer ruled it folded        even though the guy wanted to get his cards back.” Also used as        a verb. Example: “He didn't have any outs so he mucked his        hand.”

No-Limit

-   -   A version of poker in which a player may bet any amount of chips        (up to the number in front of him) whenever it is his turn to        act. It is a very different game from limit poker.

Nuts

-   -   The best possible hand given the board. If the board is        Ks-Jd-Ts-4s-2h, then As-Xs is the nuts. You will occasionally        hear the term applied to the best possible hand of a certain        category, even though it isn't the overall nuts. For the above        example, somebody with Ah-Qc might say they had the “nut        straight.”

Offsuit

-   -   A hold'em starting hand with two cards of different suits.

One-Gap

-   -   A hold'em starting hand with two cards two apart in rank.        Examples: J9s, 64.

Out

-   -   A card that will make your hand win. Normally heard in the        plural. Example: “Any spade will make my flush, so I have nine        outs.”

Outrun

-   -   To beat. Example: “Susie outran my set when her flush card hit        on the river.”

Overcall

-   -   To call a bet after one or more others players have already        called.

Overcard

-   -   A card higher than any card on the board. For instance, if you        have AQ and the flop comes J-7-3, you don't have a pair, but you        have two overcards.

Overpair

-   -   A pocket pair higher than any card on the flop. If you have QQ        and the flop comes J-8-3, you have an overpair.

Pat

-   -   A hand that you make on the flop. For instance, if you have two        spades in your hand and the flop has three spades, then you've        flopped a pat spade flush.

Pay Off

-   -   To call a bet when the bettor is representing a hand that you        can't beat, but the pot is sufficiently large to justify a call        anyway. Example: “He played it exactly like he made the flush,        but I had top set so I paid him off.”

Play the Board

-   -   To show down a hand in hold'em when your cards don't make a hand        any better than is shown on the board. For instance, if you have        22, and the board is 4-4-9-9-A (no flush possible), then you        must “play the board”: the best possible hand you can make        doesn't use any of your cards. Note that if you play the board,        the best you can do is split the pot with all remaining players.

Pocket

-   -   Your unique cards that only you can see. For instance, “He had        pocket sixes” (a pair of sixes), or “I had ace-king in the        pocket.”

Pocket Pair

-   -   A hold'em starting hand with two cards of the same rank, making        a pair. Example: “I had big pocket pairs seven times in the        first hour. What else can you ask for?”

Post

-   -   To put in a blind bet, generally required when you first sit        down in a cardroom game. You may also be required to post a        blind if you change seats at the table in a way that moves you        away from the blinds. Example: a player leaves one seat at a        table and takes another in such a way that he moves farther from        the blinds. He is required to post an extra blind to receive a        hand. See also “extra blind.”

Pot-Committed

-   -   A state where you are essentially forced to call the rest of        your stack because of the size of the pot and your remaining        chips.

Pot-Limit

-   -   A version of poker in which a player may bet up to the amount of        money in the pot whenever it is his turn to act. Like no-limit,        this is a very different game from limit poker.

Pot Odds

-   -   The amount of money in the pot compared to the amount you must        put in the pot to continue playing. For example, suppose there        is $60 in the pot. Somebody bets $6, so the pot now contains        $66. It costs you $6 to call, so your pot odds are 11:1. If your        chance of having the best hand is at least 1 out of 12, you        should call. Pot odds also apply to draws. For instance, suppose        you have a draw to the nut flush with one card left to come. In        this case, you are about a 4:1 underdog to make your flush. If        it costs you $8 to call the bet, then there must be about $32 in        the pot (including the most recent bet) to make your call        correct.

Price

-   -   The pot odds you are getting for a draw or call. Example: “The        pot was laying me a high enough price, so I stayed in with my        gutshot straight draw.”

Protect

-   -   (1) To keep your hand or a chip on your cards. This prevents        them from being fouled by a discarded hand, or accidentally        mucked by the dealer. (2) To invest more money in a pot so blind        money that you've already put in isn't “wasted.” Example: “He'll        always protect his blinds, no matter how bad his cards are.”

Put On

-   -   To mentally assign a hand to a player for the purposes of        playing out your hand. Example: “He raised on the flop, but I        put him on a draw, so I re-raised and then bet the turn.”

Quads

-   -   Four of a kind.

Ragged

-   -   A flop (or board) that doesn't appear to help anybody very much.        A flop that came down Jd-6h-2c would look ragged.

Rainbow

-   -   A flop that contains three different suits, thus no flush can be        made on the turn. Can also mean a complete five card board that        has no more than two of any suit, thus no flush is possible.

Rake

-   -   An amount of money taken out of every pot by the dealer. This is        the cardroom's income.

Rank

-   -   The numerical value of a card (as opposed to its suit). Example:        “jack,” “seven.”

Rebuy

-   -   An option to buy back into a tournament after you've lost all        your chips. Tournaments may offer one or more rebuys or (often)        none at all.

Represent

-   -   To play as if you hold a certain hand. For instance, if you        raised before the flop, and then raised again when the flop came        ace high, you would be representing at least an ace with a good        kicker.

Ring Game

-   -   A regular poker game as opposed to a tournament. Also referred        to as a “live” game since actual money is in play instead of        tournament chips.

River

-   -   The fifth and final community card, put out face up, by itself.        Also known as “fifth street.” Metaphors involving the river are        some of poker's most treasured cliches, e.g., “He drowned in the        river.”

Rock

-   -   A player who plays very tight, not very creatively. He raises        only with the best hands. A real rock is fairly predictable: if        he raises you on the river, you can throw away just about        anything but the nuts.

Runner

-   -   Typically said “runner-runner” to describe a hand that was made        only by catching the correct cards on both the turn and the        river. Example: “He made a runner-runner flush to beat my        trips.” See also “backdoor.”

Satellite

-   -   A tournament that does not award cash to its winners, but a seat        (or seats) in a subsequent “target” tournament.

Scare Card

-   -   A card that may well turn the best hand into trash. If you have        Tc-8c and the flop comes Qd-Jd-9s, you almost assuredly have the        best hand. However, a turn card of Td would be very scary        because it would almost guarantee that you are now beaten.

Second Pair

-   -   A pair with the second highest card on the flop. If you have        As-Ts, and the flop comes Kd-Th-6c, you have flopped second        pair. See “top pair.”

Sell

-   -   As in “sell a hand.” In a spread-limit game, this means betting        less than the maximum when you have a very strong hand, hoping        players will call whereas they would not have called a maximum        bet.

Semi-Bluff

-   -   A powerful concept first discussed by David Sklansky. It is a        bet or raise that you hope will not be called, but you have some        outs if it is. A semi-bluff may be correct when betting for        value is not correct, a pure bluff is not correct, but the        combination of the two may be a positive expectation play.        Example: you have Ks-Qs, and the flop is Th-5s-Jc. If you bet        now, it's a semi-bluff. You probably don't have the best hand,        and you'd like to see your opponents fold immediately.        Nevertheless, if you do get callers, you could still improve to        the best hand.

Set

-   -   Three of a kind when you have two of the rank in your hand, and        there is one on the board.

Short Stack

-   -   A number of chips that is not very many compared to the other        players at the table. If you have $10 in front of you, and        everybody else at the table has over $100, you are playing on a        short stack.

Showdown

-   -   The point at which all players remaining in the hand turn their        cards over and determine who has the best hand—i.e., after the        fourth round of betting is completed. Of course, if a final bet        or raise is not called, there is no showdown.

Side Pot

-   -   A pot created in which a player has no interest because he has        run out of chips. Example: Al bets $6, Beth calls the $6, and        Carl calls, but he has only $2 left. An $8 side pot is created        that either Al or Beth can win, but not Carl. Carl, however, can        still win all the money in the original or “center” pot.

Slow Play

-   -   To play a strong hand weakly so more players will stay in the        pot.

Small Blind

-   -   The smaller of two blind bets typically used in a hold'em game.        Normally, the small blind is one-third to two-thirds of a first        round bet. See also “big blind” and “blind.”

Smooth Call

-   -   To call. Smooth call often implies slow playing a strong hand.        Example: “I flopped the nut flush but just smooth called when        the guy in front of me bet—I didn't want to scare anybody out.”

Soft-Play

-   -   To go easy on another player at the table (e.g., not betting or        raising against him). Suppose you and your brother are the last        two people left in a hand. On the river, you have the nuts, but        he bets. If you don't raise, you are “soft-playing” him. Please        note that soft-playing is prohibited in tournaments and can        result in penalties, up to and including forfeiture of winnings.

Splash the Pot

-   -   To toss chips directly into the pot rather than put them in a        stack in front of you. Don't do it.

Split Pot

-   -   A pot that is shared by two or more players because they have        equivalent hands.

Split Two Pair

-   -   A two pair hand in which one of each of your cards' ranks        appears on the board as well. Example: you have T9, the flop is        T-9-5, you have a split two pair. This is in comparison to two        pair where there is a pair on the board. Example: you have T9,        the flop is 9-5-5.

Spread-Limit

-   -   A betting structure in which a player may bet any amount in a        range on every betting round. A typical spread-limit structure        is $2-$6, where a player may bet as little as $2 or as much as        $6 on every betting round.

Stop-and-Go

-   -   A play where you call (rather than re-raising) a raise, but then        come out betting on the next card.

Straddle

-   -   An optional extra blind bet, typically made by the player one to        the left of the big blind, equal to twice the big blind. This is        effectively a raise, and forces any player who wants to play to        pay two bets. Furthermore, the straddler acts last before the        flop, and may “re-raise.”

String Bet

-   -   A bet (more typically a raise) in which a player doesn't get all        the chips required for the raise into the pot in one motion.        Unless he verbally declared the raise, he can be forced to        withdraw it and just call. This prevents the unethical play of        putting out enough chips to call, seeing what effect that had,        and then possibly raising.

Structured

-   -   Used to apply to a certain betting structure in poker games. The        typical definition of a structured hold'em game is a fixed        amount for bets and raises before the flop and on the flop, and        then twice that amount on the turn and river. Example: a $2-$4        structured hold'em game: bets and raises of $2 before the flop        and on the flop; $4 bets and raises on the turn and river.

Suited

-   -   A hold'em starting hand in which the two cards are the same        suit. Example: “I had to play J-3—it was suited.”

Table Stakes

-   -   A rule in a poker game meaning that a player may not go into his        pocket for money during a hand. He may only invest the amount of        money in front of him into the current pot. If he runs out of        chips during the hand, a side pot is created in which he has no        interest. All casino poker is played table stakes. The        definition sometimes also includes the rule that a player may        not remove chips from the table during a game. While this rule        might not be referred to as “table stakes,” it is enforced        almost universally in public poker games.

Tell

-   -   A clue or hint that a player unknowingly gives about the        strength of his hand, his next action, etc. May originally be        from “telegraph” or the obvious use that he “tells” you what        he's going to do before he does it.

Thin

-   -   As in “drawing thin.” To be drawing to a very few outs, perhaps        only one or two.

Tilt

-   -   To play wildly or recklessly. A player is said to be “on tilt”        if he is not playing his best, playing too many hands, trying        wild bluffs, raising with bad hands, etc.

Time

-   -   (1) A request by a player to suspend play while he decides what        he's going to do. Simply, “Time, please!” If a player doesn't        request time and there is a substantial amount of action behind        him, the dealer may rule that the player has folded. (2) An        amount of money collected either on the button or every half        hour by the cardroom. This is another way for the house to make        its money (see “rake”).

To Go

-   -   The amount a player must call if he wishes to continue playing.        Example: “The big blind was $20. Sarah raised $40 more, making        it $60 to go.”

Toke

-   -   A small amount of money (typically $0.50 or $1.00) given to the        dealer by the winner of a pot. Quite often, tokes represent the        great majority of a dealer's income.

Top Pair

-   -   A pair with the highest card on the flop. If you have As-Qs, and        the flop comes Qd-Th-6c, you have flopped top pair. See “second        pair.”

Top Set

-   -   The highest possible trips. Example: you have Tc-Ts, and the        flop comes Td-8c-9h. You have flopped top set.

Top Two

-   -   Two pair, with your two hole cards pairing the two highest cards        on the board.

Top and Bottom

-   -   Two pair, with your two hole cards pairing the highest and        lowest cards on the board.

Trips

-   -   Three of a kind.

Turn

-   -   The fourth community card. Put out face up, by itself. Also        known as “fourth street.”

Under the Gun

-   -   The position of the player who acts first on a betting round.        For instance, if you are one to the left of the big blind, you        are under the gun before the flop.

Underdog

-   -   A person or hand not mathematically favored to win a pot. For        instance, if you flop four cards to your flush, you are not        quite a 2:1 underdog to make your flush by the river (that is,        you will make your flush about one in three times). See also        “dog.”

Value

-   -   As in “bet for value.” This means that you would actually like        your opponents to call your bet (as opposed to a bluff).        Generally it's because you have the best hand. However, it can        also be a draw that, given enough callers, has a positive        expectation.

Variance

-   -   A measure of the up and down swings your bankroll goes through.        Variance is not necessarily a measure of how well you play.        However, the higher your variance, the wider swings you'll see        in your bankroll.

Wheel

-   -   A straight from ace through five.

The above terminology and lexicography may be found at the web addresshttp://www.conjelco.com/pokglossary.html.

Applicants are aware of the following prior art:

U.S. Pat. No. 6,540,230 to Walker et al., U.S. Pat. No. 6,585,588 toHartl, U.S. Pat. No. 6,679,497 to Walker et al., and U.S. Pat. No.6,869,362 to Walker et al. teach variations on providing of bustinsurance to hedge one's bets against losing money playing Black Jack.Among other reasons, the present invention distinguishes from thesepatents as contemplating all-encompassing insurance concerning wagers inthe game of No-Limit Texas Hold'Em poker.

U.S. Pat. No. 7,056,208 to Cogert teaches the concept of a poker cardgame providing any player the opportunity to fold and get back apercentage of his wager once there is no more betting possible, that is,when one or more players are said to have risked all their money or tobe “all-in.” In Cogert, the disclosed safeguard is only available priorto revealing the next to last card or the last card. The presentinvention differs from the teachings of Cogert as contemplating wagerinsurance that may be employed regardless of how many cards are yet tobe revealed. This is the case whether 5, 2 or 1 card will yet berevealed. The “premium” paid by the player in accordance with theteachings of the present invention depends upon a number of factorsincluding the amount wagered at that point and the cards that have beenrevealed to that point.

SUMMARY OF THE INVENTION

The present invention relates to wager insurance for a game of No-LimitTexas Hold'Em poker. The present invention includes the followinginterrelated objects, aspects and features:

(1) The standard game of No-Limit Texas Hold'Em poker usually consistsof a table of nine or ten players, but may be played with as few as twoplayers. In order to understand the present invention, the manner ofplay of a standard game of No-Limit Texas Hold'Em poker will now beexplained. One player at the table acts as the “Dealer.” This is notedby the Dealer button, usually a white puck with the word “Dealer”printed on it, placed to the immediate left of the dealer position. Theplayer on the “button” does not actually deal the cards, but he will bethe last person to act for this hand. The dealer button rotates aroundthe table at the end of each hand, so each player takes turns being thelast player to act. The button moves clockwise with each new deal to thenext player at the beginning of each round.

(2) Texas Hold'Em poker, as with many other poker games, uses the blindstructure. The “blind” is a forced bet a player must place prior to thedealing of the cards. Two players must post blinds prior to each handplayed. The player to the immediate left of the dealer button isreferred to as the “small blind.” This player must post half of thenormal bet before the game starts. To the immediate left of the smallblind sits the big blind. The big blind must post the full bet beforethe game starts. So, for example, if the scenario is a $1-2 TexasHold'Em No-Limit table, the small blind must post $1, and the big blindmust post $2 before the hand is dealt. After the blinds are posted, twocards are dealt to each player, face down. These cards remain unseen byothers at the table. There are four rounds of betting in Texas Hold'Empoker: pre-flop, after the flop, after the turn, and after the river.The first round of betting starts after each player has received his twocards.

(3) The first player to act (decide what to do) in this first round ofbetting (pre-flop) is the person to the left of the big blind. This isknown as UTG for “Under the Gun.” If said player would like to play hishand, he must call (or raise) the big blind bet up to a maximum of allof the chips in front of him (otherwise known as going All In). In aNo-Limit game, if one player raises and another player wishes tore-raise, then the second player to raise must at least double the raiseof the first player, up to the amount in front of them. This rulecontinues for all additional players that wish to re-raise during thatround of betting. (This rule applies during all of the additional roundsof betting.) Otherwise, the (A) player can fold his cards at noadditional cost to him. The above scenario rotates around the table tothe dealer, and then to the small blind, assuming no one raises the bigblind. The small blind can call the big blind bet by just betting thedifference.

(4) The big blind player is the last player to act in this pre-flopround. The big blind can play free of charge (if no other player raisedhis blind) because he has already posted the minimum bet (the bigblind). Yet, the big blind position also has the option to raise thebet. This choice is simply called “option.” As the action rotates aroundthe table back to the big blind position, the dealer will ask the bigblind “Option?” at which point the big blind has the option to check,raise the bet, or even fold.

(5) After this initial round of betting comes the flop. A card isdiscarded, burned face down into the muck, and then three cards aredealt from the deck to the community board. The object is for theplayers to make the best 5-card hand using the combination of the twocards they hold and cards which become part of the community board—thisapplies for all futures streets (i.e., the turn and the river). Anotherround of betting ensues. Again, players may bet a minimum of the bigblind and up to a maximum of the amount in front of them (unless someonehas raised in front of them, in which case the player to act may doubletheir raise or bet up to the amount in front of them). The action alwaysstarts with the remaining player to the left of the dealer button androtates clockwise around to the dealer button (or the last person to theright of the dealer button).

(6) Once the players complete their options on the flop, a second cardis burned face down into the muck and the turn card is dealt face up onthe board next to the other three community cards. The turn card is alsoknown as Fourth Street. Another round of betting ensues. Once theplayers complete their options on the turn, the last burn card is placedface down into the muck and the river card is dealt face up on the boardnext to the other four community cards. This river card is also known asFifth Street. Now, a final round of betting ensues. Players will befollowing the said rules above. Once the action is complete on theriver, the winning cards are shown and the player(s) is/are awarded thepot, less the house “rake”—which is the commission the house takes fromall of the money in the middle of the table (the pot). The rake isusually calculated by a percentage of the pot up to a maximum dollaramount.

(7) In the game of No-Limit Texas Hold'Em, any player, at any bettinground, may bet all of his remaining chips on the table. This is calledgoing “All-in.” Any player at the table may call this bet, regardless ofhow many chips they have in front of them. If one of the other playershas fewer chips than the opponent who has moved all-in, then a side-potis created. For example, if Player A has moved all-in with $75, andPlayer B then raises and goes all-in with $100, then the main pot has$150, and the side-pot has $25. Player A may only win the main pot, andhas no right to any of the money in the side pot.

(8) In the above example, if Player C has more chips than Player B, thenPlayer C can raise the bet or move all-in himself. If Player C has $200in chips, and moves all-in after Player B, then the main pot would have$225 ($75*3 Players), the first side pot would have $50 ($25 from PlayerB and $25 from Player C), and another side pot would be created, thatcontains $100 (all Player C). Let's assume that these are the onlyplayers in the pot, everyone else folds. Player C will automatically winthe second side pot of $100.

(9) If Player A wins the hand, his hand beats both Players B & C, thenPlayer A only wins the contents of the main pot—$225. Then one wouldlook at who would win between Player B and Player C. If Player B wins,then Player B would win the contents of the first side pot—$50—and the$100 of the second side pot is simply returned to Player C (no one elseis competing for this pot). If Player C beats Player B, then Player Cwould win the first side pot of $50, and again, the contents of thesecond side pot is returned to Player C since it is uncontested.

(10) In this same hand, if Player B wins the hand by beating both PlayerA and Player C, then Player B would take down the main pot, and thefirst side pot, and the contents of the second side pot are againreturned to Player C. If Player C wins the entire hand by beating bothPlayer A and Player B, then Player C would win the main pot of $225, thefirst side pot of $50, and the second side pot which is uncontested. Inall scenarios, Player C automatically wins the second side pot sincethere are no opponents competing for that pot.

(11) The present invention acts upon the game of No-Limit Texas Hold'Empoker and allows players to “hedge their bets” to limit the downside oflosing a large bet through the provision of the ability to purchase,from the house, an insurance policy. The “premium” paid for theinsurance policy is calculated by the house taking into account suchfactors as (a) the amount bet, (b) the strength of the hand, and (c) thestatus of the game, that is, how far along in the game the insurance isrequested, in terms of how many of the sequence of steps in playing thegame have occurred.

(12) The present invention permits players to obtain insurance at anystep along the way of the playing of the game. This permits a player tolimit their potential loss, particularly where the player has thestrongest hand to that point in the sequence of steps by which the gameis played. In order to avoid undue complication, once a player becomes apolicy holder and purchases an insurance policy from the house, thatplayer may not take out another policy during the remainder of the samehand.

Accordingly, it is a first object of the present invention to provideinsurance for players playing a game of No-Limit Texas Hold'Em poker.

It is a further object of the present invention to provide suchinsurance that is calculated based in part upon the strength of aplayer's hand.

It is a further object of the present invention to provide such aninvention in which the premium for the insurance policy is based in partupon the amount of money that has been bet to that point.

It is a still further object of the present invention to provide such aninsurance policy for the playing of the game of No-Limit Texas Hold'Empoker in which the premium is calculated taking into account, in part,the status of the game at the time the insurance policy is requested,that is, which step along the sequence of playing of the game has beencompleted at that point.

It is a yet further object of the present invention to provide such aninsurance policy, the premium of which is based, in part, upon acalculation of the odds of the prospective policy holder succeeding inwinning the hand.

It is a still further object of the present invention to provide such aninvention in which more than one player may purchase an insurance policyduring the play of the same hand.

These and other objects, aspects and features of the present inventionwill be better understood from the following detailed description of thepreferred embodiments when read in conjunction with the appended drawingfigures.

BRIEF DESCRIPTION OF THE DRAWINGS

FIGS. 1-9 show, in sequence, the respective sequential stages of playingof a hand of No-Limit Texas Hold'Em poker.

FIG. 10 shows a chart used in calculating the insurance premium for apolicy a player wishes to purchase.

SPECIFIC DESCRIPTION OF THE PREFERRED EMBODIMENTS

As briefly explained above, the present invention is strictly limited touse during the play of the game known as No-Limit Texas Hold'Em poker.The sequence of events that occurs during the play of such a game hasbeen detailed in the SUMMARY OF THE INVENTION as set forth above.Keeping those details and sequence in mind, the manner by which thepresent invention is implemented in the play of such a game will bedescribed in great detail hereinbelow.

The insurance of the present invention provides a method oflimiting/hedging a player(s)'s potential loss when playing No-LimitTexas Hold'Em poker. The house, be it the casino, online or brick andmortar (land based) source, is the entity offering this form ofinsurance to the player(s).

The inventive method operates as follows: An insurance policy, issued bythe house, is offered to the player that is “all-in” and have had their“all-in” bet called by one or more players. The player that currentlyhas the best hand at the time of the “all-in,” whether that time bepre-flop, on the flop, or on the turn, will be offered to purchase aninsurance policy from the house. This insurance policy, offered to theplayer that currently has the best hand, guarantees this player to winthe pot(s) regardless of what cards are to come. Essentially, it will bea way to hedge a player's risk of losing the pot(s).

For example: If playing online, a separate new window would be shown andinquire the player with the winning hand at that point in time if theywant to purchase the insurance policy. Contained in the window will bethe odds of that player winning, and the house will show these odds bymeans of a numerical percentage (see FIG. 10 Odds Chart). The playerthen will select the appropriate boxes indicating they do or do not wantto purchase the premium.

If the chosen player purchases the insurance premium, he/she is insuredto win the pot(s) regardless of what cards are to come. (The dollaramount the player will win will be the amount in the pot(s) minus thepremium of purchasing the insurance.) If the same player declines hisoption to purchase the insurance, then the player is at risk of losingthe entire pot as additional turn cards added to the community board maychange the odds of winning the pot by the remaining card(s)—a costlymistake.

Again, the player with the superior hand at the time of the “all-in” isgiven the option to buy an insurance policy from the house. The premiumamount the player will have to pay for this policy depends upon a numberof variables: How much money is in the pot? What is the percentagechance or the odds this player would lose the pot at the time he/she is“all-in”? Based on these variables, the house will calculate a premiumand offer it to the player with an X % premium advantage to the issuinghouse. Below, there are illustrative scenario diagrams that shownumerical cost examples of purchasing the insurance policy.

In addition to the player with the superior hand (the “primarypolicyholder”), other players at the table will also be able to becomeadditional “secondary policy holders” taking out policies against thehouse (i.e., betting that the worst hand will win). The house will offerodds to these secondary policyholders with an X % premium advantage tothe issuing house. A separate window generates for these players also,offering them the opportunity to obtain a policy that the superior handwill win the hand. Once the hand is over, the house pays out all of themonies owed to the policyholder(s) accordingly. It is important to notethat in accordance with the teachings of the present invention once apolicyholder purchases an insurance policy, they or any other playersmay not take out an additional policy during the remainder of the hand.

Examples of implementation of the present invention are as follows:

EXAMPLE 1 All in Pre-Flop

$5/$10 Texas Hold'Em NL game. All players start with different amountsof chips in front of them. The focus is on Player A and Player B.(Player A has $1500, Player B has $1000.) Player A is in the small blindholding pocket Aces (hole cards read A (spades) A (diamonds)) and playerB is in the big blind holding pocket Kings (hole cards read K (spades) K(diamonds)) as seen below in FIG. 1. Players C, D, and E all fold andthe action is on Player A. In FIG. 1, the empty seats represent PlayersC, D and E who have all folded. Player A decides to move all in pre-flop(Player A has $1495 after posting his small blind of $5), and Player Bcalls (Player B has $990 after posting his big blind of $10). It shouldbe noted from FIG. 1 that neither the flop nor the turn or river cardshave been revealed. All the action to this point has occurred“pre-flop.” The monies are placed in the pot, which totals $2,000.(Note: there is a $500 side pot with Player A's additional money hepushed all-in. This amount will go uncontested since Player B hasinsufficient funds to cover.)

Once both players are all-in, the cards are shown and it is revealedthat Player A currently has the superior hand over Player B (the actualpercentages are given in FIG. 1). As should be understood by those ofordinary skill in the art, the superior hand is determined by whichplayer has a better hand at that point in time, whether it be pre-flopas is the case with Example 1 or after the flop as is the case inExample 2 or after the turn as is the case in Example 3. The relativestrength of respective hands has been described in great detailhereinabove. Because Player A currently has the superior hand (two Acesis a superior hand to two Kings), Player A is given the option to buy aninsurance policy issued by the house. By “house,” what is meant is theperson or entity offering the insurance policy. Hereinbelow, fourscenarios are described illustrating, in sequence, where: (1) Player Atakes the insurance and wins the hand, (2) Player A takes the insuranceand loses the hand, (3) Player A declines the insurance and wins thehand, and (4) Player A declines the insurance and loses the hand.

Scenario 1: Player A Takes the Insurance and Wins the Hand.

When both cards are turned up after both Players A & B are “all in,” itis revealed that Player A currently has the superior hand. Because ofthis, Player A is given the option to buy insurance to make sure he/shewins the main pot of $2,000. If two players move “all in,” and one ofthe players is drawing dead (trying to make a hand that even if madewill not win the pot), then there is no opportunity to buy insurancebecause Player A would win the pot 100% of the time regardless of whatcards will be available as the game continues. Even with only 5 cards tocome, (the flop (3 cards), the turn (1 card) and the river (1 card)totals 5 cards), the pair of kings still has opportunities to beat thepair of aces as noted by the percentages in FIG. 10. For example, a pairof kings can beat a pair of aces by hitting a set, four of a kind, or astraight. Hitting a flush is not a possibility because the suits of thecards overlap. If a five card flush was onboard, the pair of aces wouldwin. Moreover, the player with the kings could also obtain, conceivably,an additional three of a kind to create a full house. How the insurancepremium is calculated:

Player A realizes that he/she can lose the whole $2,000 pot if he/shedoesn't take the insurance, so he/she opts to take the insurance thehouse offers at a rate of 5 to 1 as shown in FIG. 10. This means thatPlayer A has to pay an insurance premium of at least $400 (20% of the$2,000) pot to ensure he wins the total $2000. It is noted that if theinsurance premium were $400.00, the house issuing the insurance policywould only be breaking even on the premium. This is because at the rateof 5 to 1, Player A has an 80% chance to win the pot and a 20% chance tolose it. Since Player A will lose the pot 20% of the time, if the housecharges less than 20% of the amount of money in the pot ($2,000.00), thehouse will lose money. Thus, in order for the house to profit fromissuing insurance policies, for example, the house will charge 25% morethan the break-even point. Thus, in the example of a $2,000.00 pot wherethe Player purchasing the policy has a 20% chance to lose the pot, thepremium charged would be 20%×$2,000.00=$400.00 plus 25% profit ($100.00)for a total premium of $500.00. When Player A purchases the insurancepremium for $500 to insure the $2000 pot, he is netting a profit of $500calculated as follows: $2000 pot−$500 insurance premium−$1000 alreadyinvested in the pot=$500 profit. Of course, all profits are subject tothe rake of the house, however, this would fall far short of the $500profit in the Example described. Once Player A purchases the insurance,the flop, turn, and river are dealt, but have no real significancebecause Player A is guaranteed to win the pot regardless of what is tocome. See FIG. 2 for an example of when Player A's pair of aces hold upagainst Player B's pair of kings.

Scenario 2: Player A Takes the Insurance and Loses the Hand.

In this example, Player A purchases the insurance premium for $500, butloses the hand. See FIG. 3 for an example of when Player A's pair ofaces lose to Player B's pocket kings. Even though Player A loses thehand, Player A is still entitled to the $2,000 pot because he/shepurchased the insurance when he/she currently had the superior hand. Inthis situation when Player A loses the hand to Player B, Player B winsthe $2,000 pot from Player A, but the house pays Player A 5-1 on his/herinsurance premium, thus paying Player A $2,000 ($400*5=$2,000) sincePlayer A purchased insurance to insure him/her of winning the pot fromthe house regardless of what cards were to come.

Scenario 3: Player A Doesn't Take the Insurance and Wins the Pot.

In this example, Player A declines to take the insurance offered by thehouse. The 5 community cards are placed on the table and Player A's pairof aces beat Player B's pair of kings (See FIG. 2). As a result, PlayerA wins the $2,000 pot. In this situation, Player A wins a net profit of$1000 calculated as follows: $2000 pot less $1000 already invested inthe pot=$1000 profit. As before, this profit is subject to the rake ofthe house. Scenario 4: Player A doesn't take the insurance and loses thepot.

In this scenario, Player A declines to take the insurance offered by thehouse. The 5 community cards are placed on the table and Player A's pairof aces lose to Player B's pair of kings (See FIG. 3). As a result,Player B wins the $2,000 pot and Player A wins $0. Example 2: All inAfter the Flop.

$5/$10 Texas Hold'Em NL game. All players start with $1000. Player A isin the small blind with KQ (hole cards read K (spades) Q (hearts)) andPlayer B is in the big blind with pocket Fives (hole cards read 5(diamonds) 5 (clubs)) as seen below in FIG. 4. Players C, D, and E allfold. The action is on Player A. Player A raises pre-flop to $30 andPlayer B calls. Note that Player A has $970 after making the pre flopraise of $30, and Player B has $970 after calling Player A's raise of$30. The monies are placed in the pot, which totals $60.

The flop comes out K (diamonds), 5 (spades), Q (diamonds). Action is onPlayer A. As explained above, action starts with the player to the leftof the dealer button. Player A bets $60, and Player B moves all in for$970. Player A calls the all in for his/her remaining $910. The moniesare placed in the pot, which totals $2,000.

Once both players are all-in, their cards are shown and it is revealedthat Player B currently has a more superior hand than Player A (basedupon the hierarchy of strengths of hands as explained hereinabove) (theactual percentages are given in FIG. 4). Note: the percentages maychange given the overlapping suits of the players' hole cards. BecausePlayer B currently has the superior hand, he/she is prompted to buy aninsurance policy issued by the house. Below, four scenarios areexplained illustrating where: Player B takes the insurance and wins thehand, Player B takes the insurance and loses the hand, Player B declinesthe insurance and wins the hand, Player B declines the insurance andloses the hand.

Scenario 1: Player B Takes the Insurance and Wins the Hand.

When both cards are turned up after both Players A & B are all-in, it isrevealed that Player B currently has the superior hand. Player B isgiven the option to buy insurance, which is provided by the house tomake sure Player B's 3 of a kind 5s beat Player A's two pairs of kingsand queens. Even with only 2 cards to come, (the turn card and the rivercard equal two cards total), Player B still has opportunities to beatPlayer A's 3 of a kind 5s as noted by the percentages in FIG. 4. PlayerA's two pairs, kings and queens, can produce a full house by hitting aking or queen on the turn card or river card, thus becoming a superiorhand than that of Player B. If Player B hits a 5 on the turn card orriver card, Player A would be “drawing dead.” Player B realizes thathe/she can lose the whole $2,000 pot if he/she doesn't take theinsurance, so he/she opts to take the insurance at a rate of 5 to 1. Theodds are shown in the chart of FIG. 10. This means that Player B has topay an insurance premium of $500 (20% of the $2,000 plus $100.00 profiton the insurance premium) to ensure he wins the total $2000. Once PlayerB purchases the insurance, the turn card, and river card are dealt, buthave no real significance because Player B is guaranteed to win the potregardless of what is to come. See FIG. 5 for an example of when PlayerB's 3 of a kind 5s hold up against Player A's two pair of kings andqueens.

Scenario 2: Player B Takes the Insurance and Loses the Hand

In this example, Player B purchases the insurance premium for $500, butloses the hand. See FIG. 6 for an example of when Player B's three of akind 5s lose to Player A's two pair. Even though Player B loses thehand, Player B is still entitled to the $2,000 pot because he/she hadpurchased the insurance when he/she currently had the superior hand. Inthis situation when Player B loses the hand to Player A, Player B winsthe $2,000 pot from the house, but the house pays Player B 5-1 onhis/her insurance premium, thus paying Player A $2,000 ($400*5=$2,000)since Player B purchased insurance to ensure him/her of winning the potfrom the house.

Scenario 3: Player B Doesn't Take the Insurance and Wins the Pot.

In this scenario, Player B declines to take the insurance offered by thehouse. The turn and river cards are placed on the table and Player B'sthree of a kind 5s beat Player A's two pair. (See FIG. 5). As a result,player B wins the $2,000 pot. Player B had declined to purchase theinsurance premium for $500 and so netted a profit of $1000 calculated asfollows: $2000 pot less $1000 invested in the pot=$1000 profit. Noinsurance premium was paid.

Scenario 4: Player B Doesn't Take the Insurance and Loses the Pot.

In this scenario, Player B declines to take the insurance offered by thehouse. The turn and river cards are placed on the table and Player B'sthree of a kind 5s lose to Player A's Kings full of Queens full house.As a result, Player A wins the $2,000 pot and Player B wins $0. Example3: All in After the Turn Card.

$25/$50 Texas Hold'Em NL game. All players start with different amountsof chips in front of them (Player A has $7500, Player B has $5500.)Player A is in the small blind holding 6-7 of clubs (hole cards read 6(clubs) 7 (clubs)) and Player B is in the big blind holding A-K ofhearts (hole cards read A (hearts) K (hearts)) as seen below in FIG. 7.Players C, D, and E all fold. The action is on Player A. Player A raisespre-flop to $175 (Player A has $7,325 after raising his small blind of$25 to $175). Player B decides to re-raise to $450 (Player B has $5,050after raising his big blind of $50 to $450). Player A calls theadditional $275 raise. The monies are placed in the pot, which totals$900.

The Flop is dealt Ace (spades), 6 (spades), 6 (diamonds) giving Player Athree of a kind 6s and giving Player B top pair with top kicker (as seenin FIG. 7). Player A bets $400, and Player B raises to $1,000. Player Acalls. (Player A now has $6,325, while Player B has $4,050 remaining).The monies are placed in the pot that now totals $2,900.

The turn card is the 9 of clubs (as seen in FIG. 7). Player A checks,and Player B bets $1,750. Player A moves all in for $6,325 and Player Bcalls his additional $2,300. $2,300 are remaining, calculated byconsidering that the player had $4,050 after the flop, and $1,750 werebet when the turn card was dealt. The monies are placed in the pot whichtotals $11,000. The cards are turned up and it is revealed that Player Acurrently has a more superior hand with three of a kind 6s. Player Bstill has a chance to win the pot if he/she hits and Ace on the river.Because Player A currently has the best hand, Player A is given theoption to buy insurance. Below are four scenarios illustrating where:Player A takes the insurance and wins the hand, Player A takes theinsurance and loses the hand, Player A declines the insurance and winsthe hand, Player A declines the insurance and loses the hand. Scenario1: Player A takes the insurance and wins the hand.

Both players A and B are “all in” and after the turn card it is revealedthat Player A currently has the superior hand. Player A is given theoption to buy insurance, which is provided by the house, to make surePlayer A's three of a kind 6s beat Player B's pair of aces. Even withonly 1 card to come, the river card, Player B still has a percentagechance to beat Player A as noted by the percentages in FIG. 7. Player Bcan still beat Player A by hitting an Ace on the river. Player Arealizes that he/she can lose the whole $11,000 pot if he/she doesn'ttake the insurance, so he/she opts to purchase the insurance at a rateof 22 to 1. The odds of 22 to 1 are calculated as understood by one ofordinary skill in the art in accordance with the chart comprising FIG.10. Note: The odds are based upon the percentage chance of the superiorhand losing after the river card is dealt. This means that Player A hasto pay an insurance premium of $625 (4.545% of the $11,000 pot equals$500.00 plus $125.00 for the house's profit on the insurance premium) toensure he wins the total $11,000. When Player A purchases the insurancepremium for $625 to ensure him or her the $11,000, he or she is nettinga profit of $4,875. This is calculated by considering the $11,000 pot,less the $625 insurance premium, less $5,500 already invested in thepot. This leaves a profit of $4,875, subject to the rake of the house.Once Player A purchases the insurance, the river card is dealt with noreal significance because Player A is guaranteed to win the potregardless of what is to come. Assuming a 2 of hearts comes on theriver, Player A's three of a kind 6s hold up against Player B's pair ofaces.

Scenario 2: Player A Takes the Insurance and Loses the Hand.

In this example, Player A purchases the insurance premium for $625, butloses the hand. See FIG. 8 for an example of when Player A's three of akind 6s lose to Player B's pair of aces on the river. Even though PlayerA loses the hand to Player B (Aces full of 6s), Player A is stillentitled to the $11,000 pot because he/she had purchased the insurancewhen he/she currently had the superior hand. In this situation whenPlayer A loses the hand to Player B, Player B wins the $11,000 pot fromPlayer A, but the house pays Player A 22-1 on his/her insurance premium,thus paying Player A $11,000 ($500*22=$11,000).

Scenario 3: Player A Doesn't Take the Insurance and Wins the Pot.

In this example, Player A declines to take the insurance offered by thehouse before the dealing of the river card. When the river card isdealt, it is the deuce of hearts and Player A's three of a kind 6s thathold up against Player B's pair of aces (See FIG. 7). As a result,Player A wins the $11,000 pot. Scenario 4: Player A doesn't take theinsurance and loses the pot.

In this scenario, Player A declines to take the insurance offered by thehouse before the turn dealing of the river card. When the river card isdealt, it is the ace of diamonds giving Player B a more superior handwith aces full of 6s (See FIG. 8). As a result, Player B wins the$11,000 pot and Player A wins $0—a very costly mistake indeed.

EXAMPLE 4 Multiple All-Ins

For illustration purposes, there can be multiple all-ins by severalplayers and the house may still offer insurance. The house will offerinsurance if one player has a distinct percentage advantage over theother player to win the hand at a set point in time, that is, pre-flop,after the flop, after the turn, etc. See FIG. 9 for an example of whenthere are multiple players all-in. Players A-E all have $2,000 in frontof them before the action begins. As can be seen, Player A is holdingPocket aces (Ace diamonds, Ace clubs), Player B is holding pocket kings(K hearts, K clubs), Player C is holding pocket (Q spades, Q diamonds),Player D is holding pocket jacks (J diamonds, J hearts), and Player E isholding pocket (10 clubs, 10 spades). As you can see, Players A-E areholding very strong starting hands. Player D is on the button, so theaction starts with Player B. Player B raises to $80. Player C re-raisesto $240. Players D and E both call the $240. The action is now on PlayerA, who re-raises to $1,000. Players B, C, D, E all call the $1,000 bet.The moneys are placed in the pot, which totals $5,000.

The flop comes out 2 (hearts), 2 (clubs), 5 (spades) as seen in FIG. 9.Action begins on Player B who announces he/she is “all-in.” Players C,D, E, and A all call the additional $1,000. The monies are placed in thepot, which totals $10,000. When all the players' cards are revealed, itis seen that Player A currently has the more superior hand (given by thepercentage) than Players B, C, D, and E.

At this point, Player A is given the option to buy insurance, which isprovided by the house to make sure Player A's pair of aces beat thehands of Players B, C, D, and E. Even with 2 cards to come, (the turncard and the river card), Players B, C, D, and E all have a percentagechance to beat Player A's pair of aces as noted by the percentages inFIG. 9. Players B, C, D and E still have an opportunity to hit three ofa kind which would beat Player A's pair of Aces. Player A realized thathe/she can lose the whole $10,000 pot if he/she doesn't take theinsurance, so he/she opts to purchase the insurance at a rate of XX-1.

Accordingly, an invention has been disclosed in terms of preferredembodiments thereof which fulfill each and every one of the objects ofthe invention and provide a new and useful wager insurance for aNo-Limit Texas Hold'Em poker game of great novelty and utility.

Of course, various changes, modifications and alterations in theteachings of the present invention may be contemplated by those skilledin the art without departing from the intended spirit and scope thereof.

As such, it is intended that the present invention only be limited bythe terms of the appended claims.

1. In a card game known as No-Limit Texas Hold'Em Poker, conducted by ahouse, in which a plurality of players play said card game and first,second, third and fourth rounds of betting occur, the improvementcomprising the house providing an insurance policy that may be purchasedby an eligible player after any betting round, said eligible playerhaving a hand of cards, at a time when an insurance policy purchase issought, stronger than hands of cards held by other players.
 2. The gameof claim 1, wherein issuance of said insurance policy requires paymentof a premium.
 3. The game of claim 2, wherein strength of a hand isdetermined with reference to a standard listing of relative strengths ofvarious poker hands.
 4. The game of claim 2, wherein said premium iscalculated based upon strength of a hand of an eligible player.
 5. Thegame of claim 4, wherein said premium is also calculated based uponamount of money bet.
 6. The game of claim 5, wherein said premium isalso calculated based upon which round of betting has most recentlyoccurred.
 7. The game of claim 6, wherein said premium is calculatedtaking into account, in part, odds of a prospective insurance policyholder succeeding in winning a hand.
 8. The game of claim 7, wherein aplayer who has purchased an insurance policy may not purchase anotherinsurance policy during a same card game.
 9. The game of claim 7,wherein said odds are displayed on a chart of various odds of succeedingin winning a hand for a variety of hands.
 10. The game of claim 9,wherein said chart is displayed to a player considering purchasing saidinsurance.
 11. The game of claim 1, wherein a further eligible player,having a further hand of cards less strong than said eligible player'shand, may purchase a further insurance policy.
 12. The game of claim 11,wherein said further insurance policy has a higher premium commensuratewith lesser strength of said further hand as compared to said hand. 13.In a card game known as No-Limit Texas Hold'Em Poker, conducted by ahouse, in which a plurality of players play said card game and first,second, third and fourth rounds of betting occur, the improvementcomprising the house providing an insurance policy that may be purchasedby an eligible player after any betting round through payment of apremium, said eligible player having a hand of cards, at a time when aninsurance policy purchase is sought, stronger than hands of cards heldby other players, strength of a hand being determined with reference toa standard listing of relative strengths of various poker hands, saidpremium being calculated based upon strength of a hand of an eligibleplayer.
 14. The game of claim 13, wherein said premium is alsocalculated based upon amount of money bet.
 15. The game of claim 14,wherein said premium is also calculated based upon which round ofbetting has most recently occurred.
 16. The game of claim 14, whereinsaid premium is calculated taking into account, in part, odds of aprospective insurance policy holder succeeding in winning a hand. 17.The game of claim 13, wherein a player who has purchased an insurancepolicy may not purchase another insurance policy during a same cardgame.
 18. The game of claim 13, wherein said odds are displayed on achart of various odds of succeeding in winning a hand for a variety ofhands, said chart being displayed to a player considering purchasingsaid insurance.
 19. The game of claim 18, wherein a further eligibleplayer, having a further hand of cards less strong than said eligibleplayer's hand, may purchase a further insurance policy.
 20. The game ofclaim 19, wherein said further insurance policy has a higher premiumcommensurate with lesser strength of said further hand as compared tosaid hand.